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New Era Helium Secures Helium Sales Agreements for Pecos Slope

Private company, New Era Helium secured an off-take agreement for 100% of the helium production from its Pecos Slope Plant in New Mexico (which has a capacity to produce 2.7mmcf/month of helium), expected to start-up in June 2024, with Arjae building the plant. It finalised two long-term take-or-pay agreements, with 50% of helium sales to AirLife Gases USA and the other 50% to a Tier 1 international gas supplier. These agreements are anticipated to generate >US$118mm in revenue. The term of the deal has not been specified: assuming a 5-year term would imply a price of US$730/mcf or a 10-year term US$365/mcf.

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